A federal judge today found that Google may have breached federal and California wiretapping laws for machine-scanning Gmail messages as part of its business model to create user profiles and provide targeted advertising.

The decision by U.S. District Judge Lucy Koh was rendered in a proposed class-action alleging Google wiretaps Gmail as part of its business model. Google sought to have the federal case in California dismissed under a section of the Wiretap Act that authorizes email providers to intercept messages if the interception facilitated the message’s delivery or was incidental to the functioning of the service in general.

“Accordingly, the statutory scheme suggests that Congress did not intend to allow electronic communication service providers unlimited leeway to engage in any interception that would benefit their business models, as Google contends. In fact, this statutory provision would be superfluous if the ordinary course of business exception were as broad as Google suggests,”